About Mason’s Famous Lobster Rolls Franchise
Mason's Famous Lobster Rolls is a fast casual seafood franchise that has been franchising since 2016, specializing in authentic New England style lobster rolls, crab rolls, shrimp rolls, and other seafood favorites.
The brand brings the taste of a Maine lobster shack to locations across the country with a simple, focused menu built around premium quality seafood.
The franchise fee is $35,000.
Mason’s Famous Lobster Rolls Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $35,000 | One-time payment upon signing |
| Royalty Fee | 5% of weekly Gross Sales of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | A minimum of .5% up to 1% of Gross Sales | National brand fund |
| Total Investment Range | $160,983 – $459,050 | Includes build-out, inventory, working capital |
The investment range of $161K–$459K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (5% of weekly Gross Sales) and marketing fee (A minimum of .5% up to 1% of Gross Sales) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $35,000 | $35,000 |
| Leasehold Improvements | $25,000 | $218,400 |
| Lease Payments – 3 Months | $7,000 | $36,300 |
| Security Deposits | $2,333 | $18,000 |
| Furniture, Fixtures Equipment | $50,000 | $70,000 |
| Signage | $5,000 | $20,000 |
| Initial Inventory | $4,000 | $8,000 |
| Architectural Fees and Plans | $10,000 | $18,000 |
| Point of Sale System and other electronic equipment | $3,750 | $4,000 |
| Travel, lodging and meals for initial training | $0 | $2,500 |
| Insurance – 3 Months | $1,500 | $1,750 |
| Grand Opening Marketing | $3,000 | $3,000 |
| Uniforms | $400 | $600 |
| Licenses and Permits | $1,000 | $4,500 |
| Professional Fees | $3,000 | $6,500 |
| Additional Funds – 3 Months | $10,000 | $12,500 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | 25% of our then-current initial franchise fee |
| Renewal Fee | One-third of our then-current initial franchise fee or $10,000 whichever is greater |
| Technology Fee | $84 Monthly (Computer System Maintenance), $50 Monthly (On-line Ordering / On-line Reservations) |
| Audit Fee | Cost of audit (estimated to be between $1,000 and $5,000) |
| Local Marketing | 1% of Gross Sales |
| Cooperative Marketing | As determined by the members, but not more than 1.5% of Gross Sales. Your total marketing obligation shall be no more than 3% (local, brand and co-op) |
| Initial Training (For New or Replacement Employees) | Our then-current per diem fee per trainee, plus expenses (Current per diem training fee = $150) |
| Additional On-Site Training | Our then-current per diem rate per trainer, plus expenses (Current per diem rate = $150) |
| Interest | 18% per annum or the highest interest rate allowed by applicable law, whichever is greater |
| Accounting Services Fee (optional) | $400 to $600 per store per month (12 months) |
| Prohibited Product or Service Fine | $250 per day of use of unauthorized products or services |
| Liquidated Damages | If we terminate your Franchise Agreement for cause, you must pay us within 15 days after the effective date of termination liquidated damages equal to the average monthly Royalty Fees you paid or owed to us during the 12 months of operation preceding the effective date of termination multiplied by (a) 24 (being the number of months in two full years), or (b) the number of months remaining in the Agreement had it not been terminated, whichever is higher. |
| Costs and Attorneys’ Fees | Will vary under circumstances |
| Indemnification | Will vary under circumstances |
| Repair, Maintenance, and Remodeling/Redecorating | Will vary under circumstances |
| Gift Cards/reward cards | $35 service fee per month |
| ServSafe / TIPS (or similar) Certification | $180 per person or the then-current market rate |
| Insurance Premiums | Reimbursement of our costs, plus 10% administrative fee |
| Management Fee | 5% of Gross Sales, subject to a minimum of $2,000 per accounting Period plus expenses |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | approximately five days |
| Classroom Training | 17 |
| On-the-Job Training | 23 |
| Training Location | Annapolis, Maryland or mutually agreeable location To Be Determined |
| Additional Training | Our then-current per diem fee per trainee, plus expenses (currently $150 per day, plus expenses) |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Exclusive |
| Exclusive Territory | Yes |
| Description | The size and scope of the Designated Territory will be contained in the Franchise Agreement and will be determined according to whether the Approved Location is an urban area or a suburban area. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | Two additional terms of 5 years each |
| Renewal Fee | One-third of our then-current initial franchise fee or $10,000 whichever is greater |
| Renewal Conditions | You shall have been, throughout the Initial Term of this Agreement, in substantial compliance, and at the expiration of such Initial Term are in full compliance, with this Agreement, your lease or sublease and all other agreements between you and us or companies or persons associated or affiliated with us. |
| Transfer Fee | 25% of our then-current initial franchise fee |
| Transfer Conditions | You must pay all amounts due us or our affiliates, not otherwise be in default, sign a general release, and pay a transfer fee. Transferee must meet our criteria, complete training to our satisfaction and sign current Franchise Agreement |
| Termination for Cause | Each of your obligations under the Franchise Agreement is a material and essential obligation, the breach of which may result in termination. In addition, a default under one agreement with us may result in a termination of all your other agreements with us. This is known as a cross-default provision. |
| Non-Compete Period | two (2) years |
| Non-Compete Details | You and your Controlling Principals are prohibited for two years from expiration or termination of the franchise from operating or having an interest in a similar business within 20 miles of any Restaurant in the System |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | No |
| Participation Details | You must designate a general manager (“General Manager”) who will be the main individual responsible for your business. We recommend, but do not require, that your Controlling Principal be the General Manager. The General Manager must sign covenants to maintain the confidentiality of information he or she learns while employed as your General Manager, and your General Manager must sign non-competition covenants. If you or your Controlling Principal is not substantially active in the operation of your Restaurant, your General Manager must be qualified to operate a Restaurant and must be a full-time employee and should ideally be a family member or trusted friend or acquaintance. |
| Required Suppliers | Sysco Corporation, located at 33300 Peach Orchard Rd, Pocomoke, MD 21851, telephone 410-677-5555. |
| Supply Restrictions | You must purchase nearly all food service items and proprietary products only from our approved suppliers and distributors. |
| Franchisor Revenue from Suppliers | $173,151.54 |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | We do not offer, either directly or indirectly, any financing arrangements to you. We do not guarantee your notes, leases or other obligations. |
Mason’s Famous Lobster Rolls Franchise Earnings — Item 19
Past financial performance does not guarantee future results. Individual results will vary.
Mason’s Famous Lobster Rolls Litigation & Risk Flags
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Mason’s Famous Lobster Rolls System Growth
Mason’s Famous Lobster Rolls currently operates 11 franchised locations and 5 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2019 | 2 | 0 | 8 |
| 2020 | 3 | 0 | 11 |
| 2021 | 5 | 0 | 16 |
Transfers: 0 | Closures: 0
State Registrations
Registered in 14 states: California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, South Dakota, Virginia, Washington, Wisconsin
Franchisor Financials (Item 21)
Audited by ALTA CPA GROUP for year ending December 31st.
Mason’s Famous Lobster Rolls Franchise — FAQ
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